The Inter Company Arbitration Agreement serves as a crucial governance document for corporate groups operating in Canada, establishing a predetermined framework for resolving disputes between related entities through arbitration rather than litigation. This agreement becomes essential when companies within the same corporate group need a structured, confidential, and efficient mechanism for resolving commercial disagreements, operational conflicts, or corporate governance issues. It incorporates provisions compliant with Canadian federal and provincial arbitration laws, including the Commercial Arbitration Act and relevant Provincial Arbitration Acts, while allowing flexibility to accommodate specific business needs and corporate relationships. The document is particularly valuable for multinational corporations with Canadian operations, as it can be designed to handle both domestic and international inter-company disputes.
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1. Parties: Identification of the companies entering into the arbitration agreement
2. Background: Context of the agreement and the relationship between the parties
3. Definitions: Definitions of key terms used throughout the agreement
4. Scope of Arbitration: Types of disputes covered by the arbitration agreement
5. Agreement to Arbitrate: The formal agreement to submit disputes to arbitration
6. Arbitration Rules: The rules governing the arbitration process (e.g., UNCITRAL, ICC, or custom rules)
7. Appointment of Arbitrators: Process for selecting and appointing arbitrators
8. Arbitration Proceedings: Procedures for conducting the arbitration
9. Confidentiality: Obligations regarding confidentiality of the arbitration process and materials
10. Costs and Fees: Allocation of arbitration costs and related expenses
11. Awards: Nature and enforcement of arbitration awards
12. Governing Law: Law governing the arbitration agreement and proceedings
13. Notices: Process for serving notices under the agreement
14. General Provisions: Standard contractual provisions including amendments, severability, and entire agreement
1. Emergency Arbitrator: Procedures for appointing an emergency arbitrator for urgent relief
2. Multi-Party Provisions: Special provisions for arbitrations involving more than two parties
3. Mediation-First Requirement: Requirement to attempt mediation before proceeding to arbitration
4. Expert Determination: Provisions for referring technical matters to expert determination
5. Appeals Process: Procedures for appealing arbitration awards
6. Interim Measures: Provisions for obtaining interim relief during arbitration
7. Language of Arbitration: Specification of language(s) to be used in proceedings when parties operate in different languages
8. Seat of Arbitration: Designation of the legal seat of arbitration when parties are in different jurisdictions
1. Schedule A - Arbitration Rules: Detailed procedural rules governing the arbitration process
2. Schedule B - Fee Schedule: Detailed breakdown of arbitration fees and costs
3. Schedule C - Model Notice of Arbitration: Template for initiating arbitration proceedings
4. Schedule D - Arbitrator Qualifications: Required qualifications and experience for arbitrators
5. Schedule E - Time Limits: Detailed timeline requirements for various stages of arbitration
6. Appendix 1 - Form of Arbitration Request: Standard form for requesting arbitration
7. Appendix 2 - Confidentiality Undertaking: Standard form for confidentiality agreements
8. Appendix 3 - Challenge Procedure: Procedures for challenging arbitrators or awards
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